Break-Even ROAS Calculator

Every business has a different ROAS bar to clear

A "good" ROAS depends entirely on profit margin - a business needs a different minimum ROAS just to break even depending on how much profit each sales dollar actually generates.

Worked example

For a 25% profit margin:

Break-Even ROAS = 1 / 0.25 = 4.0:1 minimum ROAS to break even

Profit MarginBreak-Even ROAS
10%10.0:1
25%4.0:1
50%2.0:1

Any ROAS above this break-even threshold represents genuine additional profit from advertising - this is exactly why comparing raw ROAS numbers across businesses with different margins can be misleading without accounting for each business's specific break-even point.